Transport Project Readiness Facility (ADB-58426-001)

Regions
  • East Asia and Pacific
Geographic location where the impacts of the investment may be experienced.
Countries
  • Papua New Guinea
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • Asian Development Bank (ADB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
U
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Dec 11, 2025
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
Government of Papua New Guinea - Department of Works and Highways
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Technical Cooperation
  • Transport
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Loan Amount (USD)
$ 65.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Grant Amount (USD)
$ 2.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 72.40 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Bank Documents
Media Documents
Primary Source

Original disclosure @ ADB website

Updated in EWS Apr 22, 2026

Disclosed by Bank Dec 12, 2025

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Can you contribute information about this project?
Contact the EWS Team

Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to the Bank’s website, the proposed facility will finance feasibility studies, detailed engineering designs, procurement support and other preparatory work for public transport projects, and road projects. It will improve provincial and rural roads, providing connectivity to people in rural parts of the country and accessibility to markets and basic services such as health and education. The project readiness financing (PRF) will support timely and cost-effective achievement of the outcomes of such projects. It will have two outputs: (i) design- and procurement-ready transport projects prepared; and (ii) project management capacity of executing and implementing agencies improved. The PRF has an attached technical assistance (TA) to help the executing agencies in reviewing and validating the preparation and scope of the ensuing projects under the PRF. The TA will have two outputs: (i) feasibility studies, detailed engineering designs, and due diligence for ensuing projects reviewed and validated; and (ii) government capacity in institutional strengthening, gender equality, and social inclusion development planning strengthened.

Early Warning System Project Analysis
For a project with severe or irreversible impacts to local community and natural resources, the Early Warning System Team may conduct a thorough analysis regarding its potential impacts to human and environmental rights.

According to the Report and Recommendation of the President to the Board of Directors, the Risk Categories are:

Environment: Not Applicable
Involuntary Resettlement: Not Applicable
Indigenous Peoples: Not Applicable

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

The government has requested a regular loan of $35 million and a concessional loan of $30 million, both from ADB’s ordinary capital resources, to help finance project preparation and design activities. The regular loan will have a 15-year term, including a grace period of 3 years; an interest rate determined in accordance with ADB’s Flexible Loan Product; and such other terms and conditions set forth in the draft loan agreement. Based on the straight-line method, the average maturity of the regular loan is 9.25 years, and there is no maturity premium payable to ADB. The concessional loan will have an interest charge of 1.0% per year; a term of 40 years, including a grace period of 10 years; repayment of principal at 2.0% per year for the first 10 years after the grace period and 4.0% per year thereafter; and such other terms and conditions set forth in the draft loan agreement.

Grant (Technical Assistance Special Fund): $2 million

Counterpart (Government): $5.4 million


Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

For the Borrower:

Secretary, Department of Treasury
The Treasury Building, Waigani Drive
P.O. Box 542
Waigani 131, National Capital District
Papua New Guinea
Email Address: treasury_inquiries@treasury.gov.pg

For ADB:

Asian Development Bank
6 ADB Avenue
Mandaluyong City
1550 Metro Manila
Philippines
Facsimile Numbers: (632) 8636-2444

ACCESS TO INFORMATION

You can submit an information request for project information at: https://www.adb.org/forms/request-information-form

ADB has a two-stage appeals process for requesters who believe that ADB has denied their request for information in violation of its Access to Information Policy. You can learn more about filing an appeal at: https://www.adb.org/site/disclosure/appeals

ACCOUNTABILITY MECHANISM OF ADB

The Accountability Mechanism is an independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an Asian Development Bank-financed project. If you submit a complaint to the Accountability Mechanism, they may investigate to assess whether the Asian Development Bank is following its own policies and procedures for preventing harm to people or the environment. You can learn more about the Accountability Mechanism and how to file a complaint at: http://www.adb.org/site/accountability-mechanism/main.

How it works

How it works